Insurance protects us from unexpected circumstances. Though we hope to avoid such situations, it is essential to be prepared for the worst. In similar lines, the provision of gap insurance is extremely important for car owners. It protects them when the gap between what they owe for the new purchase and actual value of the car increases. The financing department at Woody Folsom Chrysler Dodge Jeep® RAM can guide you about the benefits of gap insurance and answer all your queries for an informed choice. Take advantage of our inventory of new cars for sale in Baxley, GA and protect your interests with the gap insurance. We take pride in serving our customers with the largest selection of RAM models in all of GA.
What is Gap Insurance?
As soon as you drive a new car from the dealership lot, its value decreases. For new car owners, this means a huge gap between what you will owe for the purchase and the actual worth of the car. Gap Insurance is designed to protect the customer in case of accidental damage or any natural mishap. It will take care of the gap and enable the customer to buy another car of comparable value.
Similarly, it is beneficial for the car owners who pay less down payment or borrow an auto loan for an extended time period. Gap insurance is also handy while leasing a car in which case the amount will be paid to the car lender. The underlying factor is to protect the customer when the value of the car is lower than the lease or loan owed.
As you pay off the loan with passing time, the gap reduces. Understanding this concept can get confusing, but it is important to plan well before making a new purchase. Connect with our car dealership near Waycross, GA and explore all your options. Our knowledgeable staff in the financing department can extend perfect choices for your car shopping experience.